Regulatory and public affairs Delivering value for our members

1. Regulatory and public affairsDelivering value for our members ECTA European Competitive Telecoms Association

2. European Competitive Telecommunications Association • Established 1998 • Leading pan-European association representing regulatory and business interests of alternative network operators and pro-competitive equipment manufacturers • Associate members - financial services companies, lawfirms and consultancies • Funded by membership and conference revenue • 100+ members include: • fixed and mobile operators • with Pan-European and/or National footprint • serving business and/or residential customers • Many of our members are actively investing in Next Generation Networks

3. Some of our 100+ members

4. European Competitive Telecommunications Association - Structure • Board of Directors • 11 Directors see http://www.ectaportal.com/en/basic882.html • Directors are senior executives or senior legal/regulatory representatives of alternative operators • Meet quarterly and have monthly calls • Regulatory Forum • ECTA’s policy making arm • Body responsible for setting ECTA regulatory strategy • Meets quarterly • Made up of Regulatory Affairs reps from ECTA member companies • Regulatory Secretariat in Brussels • 3 fulltime members plus a regulatory consultant retained • Carrying out activities as prioritised by Regulatory Forum • UK office responsible for membership, finance and events • 2 fulltime staff

5. You cannot afford to ignore Europe • Brussels may seem remote to some, but… • All national telecoms legislation is based on a Framework agreed at EU level which currently supports competition, but is under review • The ‘markets’ which regulators examine are based on a list laid down by the European Commission, also now under review • The European Commission reviews all national market analyses and can veto decisions taken by national regulators • The European Regulators Group is developing EU-wide positions on the treatment of key issues such as next generation access and VoIP and is establishing ‘best practice’ guidelines on regulation of fixed and mobile markets • The regulation that will impact operator business models in the short and medium term is being set in Europe, NOW… • ECTA is actively influencing this regulation on behalf of its members and has access to latest intelligence

6. How can we help your business? • Providing valuable information about how telecoms regulation is impacting the European communications sector and affecting operator business models & market opportunities • Promoting the interests of your company in European-level policy making • Helping you meet national objectives through sharing best practice, benchmarking and through escalating your national concerns to the EU institutions • Developing your regulatory knowledge, contacts and effectiveness through information sharing and networking opportunities with industry and Govt • Allowing you to network and share experience with alternative network operator community • Arranging CEO level meetings and delegations of ECTA members with senior officials from EU institutions

7. What are we currently working on? • The Review of the EU Communications Framework, which applies across Europe • Defining policy on the regulation of ‘next generation’ access and core networks and the interconnection regime for VoIP • Case by case interaction with the Commission on national proposals to regulate broadband, NGA, leased lines, termination and mobile access • Renowned benchmarking reports on national implementation (ECTA Regulatory Scorecard) and on broadband development (ECTA Broadband Scorecard) and regulation • Gathering unparalleled intelligence on the next regulatory challenges to face competitive operators

8. What is our view? • We support the interests of competitive investors and innovators in the telecoms sector and work for open and liberalised markets across Europe • We believe that ex ante regulation is critical to opening up telecoms markets, whilst ‘ex post’ competition law plays a complementary role, but cannot substitute for firm action by the telecoms regulator • We support the ladder of investment as a means to establish alternative fixed networks – our members invest in infrastructure where economically feasible and rely on access elsewhere to complete their networks • As incumbents upgrade networks to ‘next generation’ access, IP networks, and ethernet interfaces, a key concern for our members is to prevent foreclosure through ensuring that obligations are ‘technologically neutral’, and that there is transparency and consultation over incumbents’ plans • Non-discrimination (or ‘equivalence’) is a crucial principle in the EU Framework. We support stronger enforcement against discrimination including, where appropriate, functional separation of incumbents

9. What is our view? • We support a consistent approach to calculating fixed and mobile termination rates. In particular, we have concerns over high and discriminatory mobile termination rates charged by established mobile operators. Whilst MTRs could be reduced overall, late entrants in both fixed and mobile markets may have justifiably higher termination costs than incumbents • Fixed mobile converged services should be provided in a competitive environment. That means that regulators should ensure that both fixed and mobile markets are competitive and take action where this is not the case • We support greater flexibility in spectrum allocation and use, including spectrum trading and technological neutrality. Service neutrality should be pursued where technologically feasible. Care is needed to maintain a fair playing field between existing and new players. • Where it is necessary to apply regulation across the sector on social or security grounds, this ‘non-economic’ regulation (eg data retention) should be minimised and applied consistently across Europe

10. How do we operate? • Regulatory Forum • Quarterly meeting of members to review and agree actions • Working groups • Produce output on key issues (implementation, broadband, mobile, business services, regulatory economics, e-commerce) • Political messages/lobbying plan (public policy) • Secretariat • Drive cross-discipline task forces (Framework review, NGN) • Support and input to working groups • Co-ordinate scorecards • Develop regulatory action plan and lobbying strategy • Represent industry and facilitate lobbying (eg seminars, meetings) • Regulatory conference agendas and speakers • Direct support to members for regulatory/lobbying effectiveness

11. ECTA Board of Directors Innocenzo Genna ECTA Chairman Brussels Office Marcus Benson Director Operations & Business Development Ilsa Godlovitch Director Regulatory Affairs Erzsebet Fitori Regulatory Affairs Manager Sara Russell Office Manager and Accounts Delphine Bernet-Travert Public AffairsManager Yves Blondeel Technical Regulatory Consultant ECTA organisational structure London Office

12. ECTA Membership Value Proposition* • Regular access to regulatory information and intelligence by email • Participation in ECTA’s Regulatory Forum • Participation in ECTA Working Groups and Task Forces • Access to ECTA’s regulatory secretariat’s policy making and lobbying expertise • Promotion of your company’s interests through European level policy making • Gain access to EU policy makers and senior officials from EU institutions • Benefit from networking opportunities including two complimentary conference passes/annum to ECTA’s internationally renowned annual regulatory conference *Applies to ‘Full’ Membership only

13. ECTA Offices ECTA - European Competitive Telecommunications Association Belgium Office Rue de la Presse 4 1000 Brussels Belgium Tel: +32 (0) 2 227 1111 Fax: +32 (0) 2 218 3141 UK Office 1a Eastheath House, Eastheath Avenue, Wokingham, Berks, RG41 2PR Tel: +44 (0) 118 979 3282 Fax: +44 (0) 118 979 3288